Question 1

Sorting in descending order shows the smallest number values first.Sorting in ascending order shows the largest values first.

Accepted Answer

A) True 
 B)False

Question 2

________ allows auditors to evaluate account balances and is an example of ________ analytics.

Accepted Answer

A)  Monetary unit sampling; diagnostic 
B)  Monetary unit sampling; descriptive 
C)  Random sampling; diagnostic 
D)  Random sampling; descriptive 
A)  Monetary unit sampling; diagnostic 
B)  Monetary unit sampling; descriptive 
C)  Random sampling; diagnostic 
D)  Random sampling; descriptive

Question 3

Which of the following is not an example of predictive analytics?

Accepted Answer

A)  Classification 
B)  Regression 
C)  Probability 
D)  Artificial intelligence 
A)  Classification 
B)  Regression 
C)  Probability 
D)  Artificial intelligence

Question 4

Which of the following statements is true?

Accepted Answer

A)  Monetary unit sampling is more likely to pull accounts with small balances. 
B)  Monetary unit sampling allows auditors to evaluate account balances. 
C)  Prescriptive analytics attempts to find hidden patterns or variables. 
D)  Predictive analytics uses machine learning and artificial intelligence. 
A)  Monetary unit sampling is more likely to pull accounts with small balances. 
B)  Monetary unit sampling allows auditors to evaluate account balances. 
C)  Prescriptive analytics attempts to find hidden patterns or variables. 
D)  Predictive analytics uses machine learning and artificial intelligence.

Question 5

Which type of audit analytics might be used to identify common attributes or patterns that may be used to identify similar activity?

Accepted Answer

A)  Prescriptive analytics 
B)  Predictive analytics 
C)  Diagnostic analytics 
D)  Descriptive analytics 
A)  Prescriptive analytics 
B)  Predictive analytics 
C)  Diagnostic analytics 
D)  Descriptive analytics

Question 6

Large training sets are needed to generate relatively accurate models when using which type of approach?

Accepted Answer

A)  Descriptive 
B)  Regression 
C)  Classification 
D)  Diagnostic 
A)  Descriptive 
B)  Regression 
C)  Classification 
D)  Diagnostic

Question 7

Which of the following statements is false?

Accepted Answer

A)  Predictive analytics attempts to find hidden patterns or variables. 
B)  Regression allows an auditor to predict a specific dependent value based on independent variable inputs. 
C)  Classification in auditing is mainly focused on risk assessment. 
D)  Monetary unit sampling is more likely to pull accounts with small balances. 
A)  Predictive analytics attempts to find hidden patterns or variables. 
B)  Regression allows an auditor to predict a specific dependent value based on independent variable inputs. 
C)  Classification in auditing is mainly focused on risk assessment. 
D)  Monetary unit sampling is more likely to pull accounts with small balances.

Question 8

Benford's Law states that:

Accepted Answer

A)  common tables and fields are needed by auditors to perform common audit tasks. 
B)  analytics must be used to look for correlations or patterns of interest in the data. 
C)  the number of transistors in a dense integrated circuit doubles approximately every two years. 
D)  in naturally occurring collections of numbers, the leading significant digit is likely to be small. 
A)  common tables and fields are needed by auditors to perform common audit tasks. 
B)  analytics must be used to look for correlations or patterns of interest in the data. 
C)  the number of transistors in a dense integrated circuit doubles approximately every two years. 
D)  in naturally occurring collections of numbers, the leading significant digit is likely to be small.

Question 9

Classification in auditing is typically focused on risk assessment.

Accepted Answer

A) True 
 B)False

Question 10

________ assigns a value to a number based on how many standard deviations it stands from the mean and is an example of ________ analytics.

Accepted Answer

A)  A Z-score; diagnostic 
B)  A Z-score; descriptive 
C)  Benford's Law; diagnostic 
D)  Benford's Law; descriptive 
A)  A Z-score; diagnostic 
B)  A Z-score; descriptive 
C)  Benford's Law; diagnostic 
D)  Benford's Law; descriptive

Question 11

Which of the following is an example of predictive analytics?

Accepted Answer

A)  Classification 
B)  Z-score 
C)  Decision support systems 
D)  Diagnostic 
A)  Classification 
B)  Z-score 
C)  Decision support systems 
D)  Diagnostic

Question 12

The auditor may select a sample of the accounts to verify that they were closed and the documentation exists.

Accepted Answer

A) True 
 B)False

Question 13

Exact matching is a way in which auditors join database tables with a foreign key from one table to the secondary key of another.

Accepted Answer

A) True 
 B)False

Question 14

Descriptive analytics summarizes activity or masters data elements based on certain attributes.

Accepted Answer

A) True 
 B)False

Question 15

Audit Data Standards (ADS)were developed by the SEC.

Accepted Answer

A) True 
 B)False

Question 16

Which type of audit analytics might be used to recommend action based on previously observed actions?

Accepted Answer

A)  Prescriptive analytics 
B)  Predictive analytics 
C)  Diagnostic analytics 
D)  Descriptive analytics 
A)  Prescriptive analytics 
B)  Predictive analytics 
C)  Diagnostic analytics 
D)  Descriptive analytics

Question 17

Regression allows an auditor to predict a specific dependent value based on independent variable inputs.

Accepted Answer

A) True 
 B)False

Question 18

Evaluating the tone of text to forecast an outcome is referred to as ________ and is an example of ________ analytics.

Accepted Answer

A)  classification; prescriptive 
B)  classification; predictive 
C)  sentiment analysis; prescriptive 
D)  sentiment analysis; predictive 
A)  classification; prescriptive 
B)  classification; predictive 
C)  sentiment analysis; prescriptive 
D)  sentiment analysis; predictive

Question 19

When working with CAATs,which of the following statements is false?

Accepted Answer

A)  Inner join will show only the records from both tables that match and exclude everything that doesn't match. 
B)  Left join will show all records from the first table and only records from the second table that match. 
C)  Right join will show all records from the second table and records from the first table that match. 
D)  Outer join will show all records, including only matching ones. 
A)  Inner join will show only the records from both tables that match and exclude everything that doesn't match. 
B)  Left join will show all records from the first table and only records from the second table that match. 
C)  Right join will show all records from the second table and records from the first table that match. 
D)  Outer join will show all records, including only matching ones.

Question 20

Which type of audit analytics might be used to summarize activity or master data based on certain attributes?

Accepted Answer

A)  Prescriptive analytics 
B)  Predictive analytics 
C)  Diagnostic analytics 
D)  Descriptive analytics 
A)  Prescriptive analytics 
B)  Predictive analytics 
C)  Diagnostic analytics 
D)  Descriptive analytics

Sorting in descending order shows the smallest number values first.Sorting in ascending order shows the largest values first.

allows auditors to evaluate account balances and is an example of analytics.

Which of the following is not an example of predictive analytics?

Which of the following statements is true?

Which type of audit analytics might be used to identify common attributes or patterns that may be used to identify similar activity?

Large training sets are needed to generate relatively accurate models when using which type of approach?

Which of the following statements is false?

Benford's Law states that:

Classification in auditing is typically focused on risk assessment.

assigns a value to a number based on how many standard deviations it stands from the mean and is an example of analytics.

Which of the following is an example of predictive analytics?

The auditor may select a sample of the accounts to verify that they were closed and the documentation exists.

Exact matching is a way in which auditors join database tables with a foreign key from one table to the secondary key of another.

Descriptive analytics summarizes activity or masters data elements based on certain attributes.

Audit Data Standards (ADS)were developed by the SEC.

Which type of audit analytics might be used to recommend action based on previously observed actions?

Regression allows an auditor to predict a specific dependent value based on independent variable inputs.

Evaluating the tone of text to forecast an outcome is referred to as and is an example of analytics.

When working with CAATs,which of the following statements is false?

Which type of audit analytics might be used to summarize activity or master data based on certain attributes?

Data Analytics in Accounting and Business

Data Preparation and Cleaning

Modeling and Evaluation: Going From Defining Business Problems and Data Understanding to Analyzing Data and Answering Questions

Visualizations: Using Visualizations and Summaries to Share Results

The Modern Audit and Continuous Auditing

Generating Key Performance Indicators

Using Financial Statement Data

Filters

Exam 6: Audit Data Analytics

Sorting in descending order shows the smallest number values first.Sorting in ascending order shows the largest values first.

________ allows auditors to evaluate account balances and is an example of ________ analytics.

Which of the following is not an example of predictive analytics?

Which of the following statements is true?

Which type of audit analytics might be used to identify common attributes or patterns that may be used to identify similar activity?

Large training sets are needed to generate relatively accurate models when using which type of approach?

Which of the following statements is false?

Benford's Law states that:

Classification in auditing is typically focused on risk assessment.

________ assigns a value to a number based on how many standard deviations it stands from the mean and is an example of ________ analytics.

Which of the following is an example of predictive analytics?

The auditor may select a sample of the accounts to verify that they were closed and the documentation exists.

Exact matching is a way in which auditors join database tables with a foreign key from one table to the secondary key of another.

Descriptive analytics summarizes activity or masters data elements based on certain attributes.

Audit Data Standards (ADS)were developed by the SEC.

Which type of audit analytics might be used to recommend action based on previously observed actions?

Regression allows an auditor to predict a specific dependent value based on independent variable inputs.

Evaluating the tone of text to forecast an outcome is referred to as ________ and is an example of ________ analytics.

When working with CAATs,which of the following statements is false?

Which type of audit analytics might be used to summarize activity or master data based on certain attributes?

Data Analytics in Accounting and Business

Data Preparation and Cleaning

Modeling and Evaluation: Going From Defining Business Problems and Data Understanding to Analyzing Data and Answering Questions

Visualizations: Using Visualizations and Summaries to Share Results

The Modern Audit and Continuous Auditing

Generating Key Performance Indicators

Using Financial Statement Data

Filters

allows auditors to evaluate account balances and is an example of analytics.

assigns a value to a number based on how many standard deviations it stands from the mean and is an example of analytics.

Evaluating the tone of text to forecast an outcome is referred to as and is an example of analytics.